Using Ride-Sharing Apps Like UberX for Deliveries: Risky Business?

Small business owners may already use ride-sharing apps instead of taxicabs to travel from place to place. But should your company use such apps for deliveries or for other business purposes?

MELT Pizza, a restaurant in Melbourne, Australia, plans to use Uber's ride-sharing service UberX to deliver woodfired pizzas to hungry customers. Dynamic Business reports that customers will get free delivery if they live within 3 kilometers of the store and spend more than $35.

But is using Uber for deliveries, or any other commercial purpose, legally risky?

Legal Status of Ride-Share Services

Uber and other ride-sharing apps seem to be built around supporting small businesses. But is it legal to use them for your business' needs?

Yes and no. Uber, Lyft, Sidecar, and similar services have had mixed luck with legislators in various cities and states. According to San Francisco's KQED, some cities -- like New Orleans, Portland, and Miami -- have outright bans on Lyft and Uber. Still other states like California have moved to legitimize these ride services which are regulated separately from taxi services.

Depending on your business' location, UberX or other ride-share apps may not be legal for average riders, much less as a way to grow your business. Even MELT Pizza's use of ride-sharing apps is threatened by the Australian state of New South Wales' enforcement of passenger transport laws.

Terms of Use

Even if a regulated service is legal for consumers, it isn't necessary always legal for business use. Like businesses being sued for using "personal" cable-TV accounts for commercial viewing, ride-share companies may not approve of using their services to boost your business.